Business
Ethema Signs LOI
Ethema Signs LOI.
About this update from Ethema Health Corporation
[{"type":"text","content":"\nWest Palm Beach, FL, May 28, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Ethema Health Corporation (OTCQB: GRST) (“Ethema” “GRST” or the “Company”), a provider of healthcare services, today announced that it has agreed to a letter of intent to purchase an interest in IC Pharma, LLC and its group of companies. IC Pharma has offices in Auburn Hills, Michigan, and specializes in the extraction, processing, and bottling of extracts from natural plants such as coffee, industrial hemp, and kratom.  IC Pharma has developed advanced manufacturing equipment and processes that make their production efficient, economical and highly scalable.  IC Pharma group’s products are sold through distributors and retailers and will generate sales at retail of approximately $50,000,000 dollars per year with a 30% growth rate.  The agreement is subject to standard due diligence and will require a formal agreement and a valuation to support the purchase price.  \n The agreement with IC Pharma will be beneficial to the Company for two reasons.  The first is that it gives the Company the exclusive right to the use of certain products relevant to addiction treatment for opioid withdrawal.  The second is that IC Pharma is a rapidly growing company that is generating significant revenue and profits and will bring great value to the Company.  There is a growing backlash against pharma companies and their part in creating the opioid epidemic.  There is an increasing amount of evidence that synthetic drugs sold for the treatment of pain anxiety and sleeplessness are not as safe as they have been represented.  The response to this has seen a growing amount of interest and support of plant-based products to resolve these problems. One plant-based product comes from the leaves of the Mitragyna Speciosa tree (“kratom”). The use of kratom for relieving opiate withdrawal symptoms is nothing new. For many centuries, people suffering from severe opiate addictions have turned to this natural herbal product for relief. Recently, researchers have confirmed what has been well documented anecdotally – the plant’s potent natural alkaloids can soothe the most intense symptoms. This makes kratom one of the best treatments for opiate withdrawal side e...